The government’s fiscal reserve has managed to squeeze a return of less than 1.75 percent out of its billion-dollar investments in its first year. University of Macau public economics professor Jenny Huang Bihong said the return was “too low, much lower than inflation”.
“As such its value is essentially declining.” The average rate of inflation for same period, the 12 months ending February 28, was 6.16 percent. Ms Huang told Business Daily that Macau should establish a sovereign wealth fund similar to Singapore’s Temasek Holdings (Private) Ltd. But another scholar disagrees, warning that such a move might not improve return on investment...............................................Full Article: Source